2016 Volume 12 Issue 2 Pages 60-65
MFCA is considered a tool for establishing a positive relationship between economy and the environment, a so-called “win-win” relationship. However, this is not as simplistic in practice. MFCA can only partly connect economy with the environment through calculation of waste costs. On the contrary, the economic calculation may prevent environmental improvements with relatively small associated cost reduction. In order to overcome this problem, it is important to evaluate the environmental effects of MFCA; for this purpose, the possibility of integrating MFCA with LCA should be considered. This paper recommends an indirect integration between MFCA and LCA in which the results of MFCA and LCA are not merged, but used separately. In addition, IIRC’s Integrated Reporting framework can be used to develop key performance indicators that may be suggested by this integrated MFCA-LCA model.
